Lord McKenzie of Luton: My right honourable friend the Paymaster General has today made the following Written Ministerial Statement.
	Legislation to prevent companies making arrangements in order to obtain corporation tax relief in the UK for losses of a company established outside the UK will be introduced in the Finance Bill 2006. The legislation will apply to claims for loss relief by UK resident companies, and UK branches of companies which are not UK resident, and will deny loss relief in the UK where there are arrangements which either result in losses becoming unrelievable outside the UK that were otherwise relievable, or give rise to unrelievable losses which would not have arisen but for the availability of relief in the UK, if the main purpose or one of the main purposes of those arrangements is to obtain UK relief.
	The legislation will have effect from 20 February 2006. A press notice issued by HM Revenue and Customs (HMRC) on that date giving the relevant background to, and further detail on, this measure was deposited in the Libraries of both Houses on 20 February 2006 and is also accessible on HMRC's website.

Lord Triesman: The General Affairs and External Relations Council decided on 30 January to renew the European Union's sanctions against the Government of Zimbabwe, with effect from 21 February, for a further 12 months. The European Union's sanctions are an arms embargo, and a travel ban and assets freeze on Mr Mugabe and leading members of his regime. The renewal of these measures sends a powerful message of the European Union's continued concern about the erosion of democracy, respect for human rights and the rule of law in Zimbabwe. The European Union's measures are specifically targeted against the Mugabe regime rather than the economic interests of ordinary Zimbabweans. Indeed, the European Union and its member states continue to provide considerable humanitarian aid to ordinary Zimbabweans. The United Kingdom is one of the three largest cash donors to Zimbabwe, alongside the European Union and the United States, providing £38 million in the 2005–06 financial year for humanitarian assistance and tackling HIV/AIDS.
	In the past 12 months the situation has deteriorated, with two flawed elections, further human rights abuses, woeful economic mismanagement, an unchecked food crisis, and country-wide destruction of informal settlements and markets, affecting more than 700,000 people. These developments have created growing international concern, with the United Nations, European Union, African Union and neighbouring states seeking an urgent resolution of the crisis. Sadly, Mr Mugabe's policies continue to damage his country. In the past few weeks his regime has underlined its contempt for basic human rights and for the welfare of its people. They have launched a sustained programme of intimidation against an independent radio station, Voice of the People, and are preventing journalists for both foreign media organisations and Zimbabwean newspapers from legally carrying out their work.
	There has been a renewed campaign of violent land seizures, including, for the first time, in urban areas, aimed at benefiting Mr Mugabe's cronies. There have also been attacks on opposition-led local councils. Most recently they have arrested hundreds of women and children taking part in peaceful demonstrations. We are strongly concerned at these developments. A free media is essential to the healthy development of any country, and media repression is the hallmark of regimes attempting to hide their failings. Continued land seizures destroy Zimbabwe's agricultural productivity and underline Mr Mugabe's contempt for property rights and the rule of law. Vibrant and independent local government and the right to freely express views through peaceful demonstrations are the building blocks of healthy democracy.
	We call on the Government of Zimbabwe to respond without delay to the concerns set out by the international community, including the United Nations, European Union and the African Commission on Human and People's Rights. The Government of Zimbabwe need to demonstrate commitment to the restoration of democracy, respect for human rights and the rule of law, and the pursuit of sustainable economic policies.
	We will continue our pressure on the Government of Zimbabwe to reform, and will continue to provide support for the long-suffering Zimbabwean people.